Council: Big boxes spur more jobs, business

GAYLORD - The Gaylord City Council has extended the welcome mat for big box stores in the city, citing the benefits of tax and job generation from such developments.

After debating a City Planning Commission request to enact a moratorium until March 12 against big box stores, the City Council at its Monday night meeting rejected the idea and also went on record opposing additional regulations for big box stores. Councilmember Russ Jan, who is recovering from major surgery, was not present.

"I've lived in Gaylord all my life and I find it hard to swallow," Toni Brown, planning commission vice chairperson said of the council's rejection of the board's recommendation. "That's just my opinion," she continued, reacting to the council's action denying the planning commission's request for the temporary moratorium, and council's vote not to pursue any additional information about regulating big box developments.

"As a previous retail person, I just think local people have been here forever, and we just can't let humungus stores move in because eventually we'll lose Main Street (merchants)," Brown asserted.

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The city's planning commission, in a two-page letter discussed at Monday night's meeting, had requested the council enact a temporary moratorium on approving any big box developments. The planning commission's letter, signed by its chairperson Lois Skinner, urged the city to enact the temporary moratorium to allow the planning commission "an opportunity to research the true impact big box developments would have on our city and to draft recommendations to you regarding these types of developments."

The planning commission was concerned about possible negative economic impacts, such as loss of smaller businesses, jobs, the impact to city services and even aesthetics.

But City Manager Joe Duff and councilmembers saw the issue in a different light.

Duff, who recommended council reject the moratorium request, said big box developments like the Edelweiss shopping center actually have a positive economic impact on the community. The Wal-Mart SuperCenter and Lowe's, both considered big boxes, are located at the Edelweiss shopping center.

The Edelweiss development, Duff said, has spurred other businesses to locate in the area, creating more jobs. He pointed to jobs created by the big box stores and other new jobs created by new businesses Applebee's restaurant, Walgreens, Starbucks Coffee and Advanced Auto Parts.

The community also benefits in other financial ways, according to Duff.

"The Edelweiss tax base cannot be ignored," he said. As a result of that development, Duff said the schools annually receive $300,000; the county $60,000; and the city $200,000.

Gaylord Downtown Development Authority Director Sherry Schuster echoed Duff's view that the city benefits, overall, from the big box stores. She said while smaller downtown businesses must offer special niche merchandising, the big box development in the area serves to make Gaylord a regional shopping destination attracting even more shopping traffic downtown.

Duff further argued that enacting even a temporary moratorium against big box development would be sending the "wrong message" to Meijer Inc., which is now negotiating with the city for water and sewer services to serve its planned 207,364-square-foot grocery and retail store and gas station development. Both Duff and Mayor Gladys Solokis pointed to the partial redevelopment of the old Wal-Mart store, now occupied by Big Lots and Dunham's Sporting Goods as additional spin-off development as a result of Wal-Mart moving into Edelweiss.

Planning Commission concerns

· Potential loss of established, smaller businesses, including a loss of jobs, from those who may not be able to compete with a big box;

· Increased costs to city to upgrade and maintain the infrastructure necessary to support the project;

· Expense incurred by public safety officers to provide the police services required by big boxes relating to returned checks, shoplifting and accidents that occur on the property; and

· Large structures that remain unoccupied, due to their unmarketability, for extended periods of time if a current big box tenant decides to vacate or relocate from the property.

Ideas to regulate big box stores

City Planning Commission ideas for regulating big box development:

· Place a square footage cap on stores that may be built;

· Require stores over a certain square footage to obtain a special-use permit - further conditioned upon certain regulations and/or restrictions being imposed that are specific to their development. These include aesthetic characteristics, larger green space and public areas, parking lot configuration, safe pedestrian accessibility throughout the property, play areas, architecture, maximum lot coverage requirements, etc.

· Require traffic and impact assessment studies be submitted as part of the development package;

· Agreement between the city and developer relating to the maintenance and reuse of property in case the retail store vacates. The agreement could include an exit strategy, or;

· Simply, a demolition bond in case the property is vacated.

What is a big box?

What is a "big box" store?

· Big box stores are defined as "retail stores, selling a wide range of merchandise, from large household appliances to items such as groceries and pharmaceuticals, that occupy more than 50,000 square feet;